The Color of Nonprofit Boards- Sharon Danosky

Nonprofit organizations – and their boards – are on the front lines of many of the societal problems we face.  They are advocates, providers of human services and collaborators for social change.  And they are predominantly white.

A recent study of Board practices, Leading With Intent  published by BoardSource noted that “boards are not prioritizing demographics in their recruitment practices”.  The survey they undertook of their members received responses from 1,545 organizations nationally.  Of those organizations, 90% of their Chief Executives were Caucasian, as was 90% of Board Chairs and 84% of Board members. [Read more…]

Hail the Unsung Heroes of Hurricane Harvey- Sharon Danosky

I am frustrated by the lack of understanding that undermines the efforts of many dedicated staff and volunteers in the nonprofit sector.

What prompts my writing was an interview I heard this morning. A non-profit executive was stating that they would be providing a full accounting next week of the funds that had been raised and spent in the relief effort for Hurricane Harvey. The reporter then asked, with a note of incredulity in her voice – “wouldn’t that be the same?” Implicit in her question was an assumption that if the funds spent were not the same as the funds raised, there must be some mismanagement or worse. [Read more…]

We have a Strategic Plan, Now What?

“Nothing happens until something moves” Albert Einstein

Ask an Executive Director or CEO if they have a strategic plan. Many will say, “Of course we do – it’s here somewhere”. Then they will reach to the top shelf of their bookcase, blow off the dust and say – here it is!  This leads me to believe that a lot of strategic plans end up as bookends or dust collectors.

We recently posted an article that discussed how the most critical part of the strategic plan is actually the planning process. If that is the case, then what do you do when the ‘planning process’ is over and how do you bring those strategies to fruition? [Read more…]

What makes for a good strategic plan? – Sharon Danosky

How relevant can a strategic plan be in a world where change occurs at such a rapid pace?   Good question.  One I would counter by asking – is there ever a time in history where life has been certain and predictable.  I highly doubt it.  So, what is the role of strategic planning – and how do you determine whether your strategic plan will be a viable document – or gather dust on a shelf?

In a June 2016 article titled, “Strategic Plans are Less Important than Strategic Planning,” written for the Harvard Business Review, Graham Kenny stresses that a strategic plan is not a device for control; rather it is one of guidance.  It is the process, not the end product that really matters.

For that reason, I think a good strategic plan must be fluid, above all else.  It is not a list of tactics or “to do” action steps that need to be taken.

The thing about strategic planning is that it creates cohesion, a unity of purpose.  Your strategies are more like the major themes you will address, rather than the specific actions you are going to take.  Almost every non-profit strategic plan will incorporate several of the following objectives:

  • Improve operational effectiveness
  • Enhance or expand programs or services
  • Strengthen governance
  • Explore and pursue strategic collaborations
  • Develop a staffing plan to meet future organizational needs
  • Achieve or build financial stability
  • Create a strong advocacy stance
  • Build community and stakeholder awareness

There is nothing magic about any of these.  Yet, through the planning process you are able to determine where your greatest vulnerabilities and opportunities are and among the eight objectives, what your primary focus should be for the next 3-5 years (recognizing that focus on all eight at once should never be an option).

The beauty lies in achieving a shared understanding of priorities among board members and staff alike.

Several years ago, a relatively new Executive Director approached me, a bit frustrated.  He told me that he had been the General Manager of a mid-sized manufacturing facility and that it was so much easier to plan and execute actions.  He said there were just a few variables and it was basically contingent on market demand and cash flow.  “Now”, he explained, “At every board meeting, some board member has a new idea, they all like the idea and now I am off exploring yet another new concept.”  While I am sure that was a bit of an exaggeration, I asked whether or not he had a strategic plan.  No, he said he did not.  And therein lies the problem.

If he did have such a plan, then it would have been relatively easy.  Every time a new great idea was presented, he could ask the question of whether – and how – the new idea fits within the strategies you outlined?  That would yield a more strategic discussion, rather than volleying around yet another new idea.

Very often boards have an almost euphoric experience after a good planning retreat and a resulting epiphany regarding the direction for the non-profit they care about.   This isn’t a result of the brilliant strategies that came about.  Rather, it was a process where everyone agreed on direction, priorities, and a sense of shared purpose.

Strategic plans are a sound basis for ongoing strategic discussion.  They must be fluid to adapt to an always-changing environment.  They have to be continuously reviewed and debated and agreed-upon.  They are the beginning of the process, not the end.

A storm’s a comin': Batten down the hatches …. – Sharon Danosky

Non-profits have weathered storms in the past; so much so that stormy weather is just part of the long-range forecast. The beauty of having weathered so many in recent years, is that we have gained perspective and learned a thing or two about how to prepare and how to batten down the hatches. With anticipated cuts in both federal and state budgets, we contend that the time to do so is now. At Danosky & Associates, we put our heads together and have compiled a list for you to consider as the storm clouds begin to gather. We know for some, you may be already be seeing the early weather warnings. For others, the forecast is further down the road. Regardless of where you are – here are a few suggestions.

1. Plan. 

This is a good time to seriously consider your strategic plan. You may need to adjust it. Focus on those areas that will have the greatest effect – whether it is operational or building one initiative that will have the greatest impact. If you don’t have a strategic plan – then it is wise to invest in doing one. With strong strategic objectives you won’t get lost in the myriad of challenges that are bound to come your way.

2. Perform an organizational assessment.

Understand where your strengths are and what areas are most vulnerable. How can you modify your systems, build capacity, strengthen your teams, and improve your processes so that you are operating on all cylinders?

3. Test your assumptions. 

Budgets and financial plans are based on good assumptions: growth assumptions, revenue assumptions, cost assumptions and others. Testing those assumptions will allow you to do the financial modeling and scenario planning that can anticipate changes and act precipitously when they occur.

4. Invest in fundraising. 

If there were a downturn in our economy, donors do not stop giving; rather they become more selective. Are you retaining your donors, stewarding their generosity and building the relationships that ensure they will continue to give and further invest in your organization when the going gets rough.

5. Utilize social media. 

Building a community of support – whether it is for advocacy or raising money or volunteers, is most effectively done by using multi-plat-formed messaging.  Capturing stories and communicating both your value and impact can set the stage for stronger support in the most cost effective manner possible.

6. Collaborate. 

This a term that has been used by the sector for a generation or more. Collaboration may be as simple as sharing people, sharing space or sharing back-office systems. For some, though, collective impact, innovative partnerships, acquisition of new services or even merging with another organization can all have a meaningful impact on how you deliver your mission.

While we hope that funding and support is stable, we know that the above steps will serve you well at any time. And early investment in these activities will strengthen the organization, regardless of the weather o’er the horizon.